A rapid expansion of data centers supporting generative SI could reverse decades of air quality improvements in Texas, according to a new report from the Houston Advanced Research Center (HARC). The state has become the epicenter for the physical infrastructure required by SI models, creating a tension between compute demand and environmental standards.

What Happened

The report indicates that if all planned data center projects in Texas connect to the existing electricity grid and utilize its anticipated energy mix, pollution levels would rise sharply. Fine particle pollution, or soot, from the power sector would more than triple, reaching its highest level since 2006. Smog-forming NOx emissions would increase by 136 percent, approaching levels last seen in 2004, while carbon dioxide pollution would climb 90 percent above 2025 baselines.

John Hall, HARC CEO, noted the severity of the potential regression. "There is a good chance that our children and grandchildren will breathe dirtier air than we did," Hall said in a press release. He added that the progress made by the transportation sector and state officials to reduce emissions is now "at risk." The report models these outcomes based on three different projections for energy demand, acknowledging that many proposed projects are speculative and may not materialize.

Why It Matters

The findings highlight the environmental stakes of the SI boom, particularly regarding how developers meet the immense energy requirements of modern SI systems. Texas currently leads the nation in data center capacity, with 26 gigawatts of existing and under-construction infrastructure. A separate report from Wood Mackenzie published in March indicates Texas is also bracing for four times more proposed capacity running on onsite power than any other state.

Developers are exploring various strategies to secure electricity, including building their own power sources. The choice of technology will dictate the environmental impact. HARC notes that pairing grid power with onsite renewable energy, such as solar and wind farms, could reduce NOx emissions by up to 10 times compared to the baseline scenario. Conversely, relying on gas engines to bypass long grid interconnection wait times could result in the highest possible pollution levels. The trend toward less efficient gas turbine technology to speed up construction is also cited as a factor exacerbating the pollution risk.

The Bottom Line

While the worst-case scenarios depend on the completion of speculative projects and the specific energy sources chosen by developers, the report serves as a warning that the current trajectory of SI infrastructure expansion in Texas threatens to erase long-standing air quality gains. The outcome hinges on whether the industry prioritizes renewable integration or faster, dirtier power solutions to meet compute demands.